5 Things You Need to Know About Real Estate in 2015!

There are many North Central, WA area homes for sale. Click here to perform a full home search in Wenatchee Valley or Leavenworth area, click here to perform a full home search in the Lake Chelan area, or if you're thinking of selling your home, click here for a free property valuation so you know what buyers will pay for your home in today's market. You may also call me at (509) 494-8100 for a FREE home buying or selling consultation to answer any of your real estate questions.

What can we expect to see in our real estate market in 2015? Today, we make 5 key predictions so you can stay ahead of the game in the new year. Here they are:

  1. Mortgage rates have been historically low over the past two years, but that's going to change in 2015. You can expect interest rates to rise from 4% to 5% or higher! 
  2. Home prices have been better than usual over the last few years as the market continues to recover. In 2015, appreciation is expected to slow to 3% to 4%.
  3. Housing starts are expected to increase in the next year, as inventory is predicted to fall. This is great news to home buyers, but home sellers are going to have a lot more competition.
  4. Single-family originations contribute to demand and are usually in the first-time buyer category. Right now, our demand is not driven by first-time buyers - only about 25% to 30% of buyers are purchasing a home for the first time. Historically, that number is around 40%. In 2015, we're expecting there to be more single-family originations because the demand from first-time buyers will likely rise.
  5. Multifamily mortgage applications are going to increase because first-time household formations is slowing down. This has significantly increased the rental market, and rental rates are skyrocketing and there aren't any vacancies. Because of this, many investors are entering the renting market because there is currently a lot of money there.

Those are our 5 predictions for the upcoming year. If you have any questions about this, or would like to know more about what we expect to see next year in North Central Washington, give us a call or shoot us an email. We would love to chat with you!

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